Thu, Aug 22, 10:01 AM (145 days ago)
NYIAX, Inc. reported significant financial challenges for the fiscal year ending December 31, 2023. The company experienced a 50% decline in net revenue, dropping to $656,100 from $1,324,305 in 2022, primarily due to reduced sales and marketing activities. Operating expenses totaled $7.57 million, resulting in a net loss of approximately $8.72 million, compared to $11.11 million in the previous year. Despite these losses, the company maintains a focus on leveraging its blockchain technology to enhance transparency and efficiency in digital advertising transactions. Strategically, NYIAX aims to expand its marketplace for advertising contracts while addressing liquidity concerns, as it reported total current liabilities of $7.9 million against current assets of only $323,000. The company has engaged in multiple convertible note offerings to bolster finances, raising approximately $1.5 million in 2024A notes and $0.2 million in 2024B notes. Key risk factors include dependency on a limited number of customers, potential litigation, and competition in the digital advertising space. The company's ability to continue as a going concern is in question unless it can secure additional funding or significantly increase revenue.